Analysis for July 23rd, 2014
AUD USD, “Australian Dollar vs US Dollar”
Australian Dollar was able to stay above Super Trends and now continues its ascending movement, getting closer to local maximum. As upward price movement is rapid, there are some risks that bulls may stop near the 7/8 level. However, if this level is broken, next target will be the 8/8 one.
At H1 chart, price reached the 7/8 level. In the next few hours price may continue ascending movement and break the 8/8 level. Consequently, as price is moving upwards inside “overbought zone”, market may break the +2/8 level and the lines at the chart will be redrawn.
EUR GBP, “Euro vs Great Britain Pound”
Pair is still moving towards the -2/8 level. Probably, during Wednesday price may reach this level. It is more likely that price will start new correction and lines at the chart will be redrawn.
Super Trends formed “bearish cross”, thus, accelerating the quotes falling down. The main target is still at the 0/8 level that price may reach in the next few hours.
XAG USD, “Silver vs US Dollar”
Silver is still consolidating between Super Trends formed “bearish cross” last week. The price rebounded from the 7/8 level and now may reach the 4/8 level.
At H1 chart, price is moving between Super Trends. Price was not able to stay above the 3/8 level, therefore, descending movement may be resumed. When price is below Super Trends, I am planning to increase short positions.
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